Australia keeps policy rate steady at 3.6% as inflation worries loom
The Reserve Bank paused after three cuts this year as inflation eased but risks persist, with 35% of homeowners still struggling to pay mortgages, analysts said.
- Australia's central bank held the benchmark policy rate at 3.6% in response to inflation concerns, which is at its highest level since July 2024, according to reports from the Reserve Bank of Australia.
- The country's annual inflation rate rose to 3.0% in August 2025, driven by increasing housing, food, and alcohol prices, as reported by the Australian Bureau of Statistics.
- Australia's GDP grew by 1.8% year over year, which was higher than the 1.6% expected by economists, with growth driven by domestic spending.
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Mortgage-holders may be in for long wait for rate cuts
The RBA shocked no one when it held interest rates steady, but its hawkish tone has left analysts...


Interest rates remain on hold
The reserve bank has announced the cash rate will remain at 3.60 per cent.
RBA stands pat on interest rates as hopes dim for future cuts
The Reserve Bank kept the cash rate steady at 3.6% at today’s meeting. In its post-meeting statement, the central bank said the monetary policy board judged that it was appropriate to remain cautious. This pause follows three cuts earlier this year — in February, May and August, each by 25 basis points — which lowered the cash rate from 4.1% to its current level. Governor Michele Bullock said the bank is watching those previous cuts work throug…
RBA holds cash rate at 3.6%; maintains stability after August cut
The RBA board voted to hold the cash rate at 3.6% at its September 2025 meeting, keeping rates steady after last month’s quarter-point reduction. The decision, which was widely anticipated by the market and follows a 25 basis point cut in August, holds
Reserve Bank of Australia Holds Cash Rate at 3.6 Percent
The Reserve Bank of Australia (RBA) has left the cash rate on hold at 3.6 percent, keeping policy steady after three cuts earlier this year. The board said inflation has eased sharply from its 2022 peak but warned progress is slowing. Both headline and trimmed mean inflation were inside the 2–3 percent target band in the June quarter. But early September data suggest price pressures may be stronger than expected. However, in its post-meeting sta…
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